CES 2014 - Autonomous Connected Vehicles
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The document discusses autonomous vehicles and how technology can transform transportation. It notes that autonomous vehicles could reduce transportation costs on average by $550-$420 per vehicle per year through reduced insurance, operation costs, and time spent in traffic. The document also discusses how consumers globally trust autonomous vehicles, especially in emerging markets, and how transportation and communication costs take a large portion of personal income in many countries that could potentially be reduced.
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CES 2014 - Autonomous Connected Vehicles
- 1. The Internet of Things TOMORROW Starts Here Autonomous Vehicles © 2011 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 1
- 2. Source: christian-foerg.de, 2009 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 2
- 3. Average Car Cost/ Mile by Annual Mileage [US$] 5,000 55 $1.98 10,000 $1.20 Average $0.98 15,000 38 $0.94 20,000 25,000 $0.81 $0.73 Source: AAA, Cisco Connected Vehicle, 2013 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 3
- 4. Urban Congestion: 11%-13% Time Wasted Parking Search: 7%-21% of Urban Traffic Traffic Light Stops: 10%-17% of Urban Fuel 1 Liter / 100 km Car Source: VDA Annual Report, TTI, VTPI, Cisco IBSG 2011 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 4
- 5. Driving a car Walking 2.24 2.73 2nd highest expense (12%) Rail Mean preference rank, where 1 is most preferred Bus 4.09 4.34 Bike Source: Millennials & Mobility, APTA 2013 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 5
- 6. Personal Transportation …But What is the Next Big Thing? Mass Transportation Source: christian-foerg.de ,Cisco IBSG Automotive 2011 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 6
- 7. Consumers Trust Driverless Cars of consumers, globally, trust driverless cars—even more so in emerging markets 57% Would Ride Driverless Would Let Kids Ride Driverless Brazil India China USA Russia 95% 92% 86% 69% 70% 53% 60% 48% 57% 36% Canada France UK Germany Japan 52% 36% 45% 37% 45% 39% 37% 31% 28% 27% Source: Cisco Systems, 2013 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 7
- 8. Running Transportation on Networked Information Transportation Services Delivered by Technology Safety and Security Operational Efficiency Travel Experience Revenue Generation Source: Cisco IBSG Automotive, 2011 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 8
- 9. Integrate… Transform… Develop Source Make Sell Deliver Service Vehicle Energy Service Provider Connect… Infrastructure ITS New Services … Source: Cisco IBSG Automotive 2011 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 9
- 10. Internet of Cars Service Providers B2C: Navi, Traffic, Weather, Parking, Infotainment, etc. B2B/G: “Apple on Wheels” , LBS, UBI, Big Data, etc. Vehicle User $ 550 $160 Lower insurance Lower operation cost Less time stuck in traffic, more productivity Show me the Money! Auto OEM/OES Lower service/warranty costs New profit pools Architectural savings Society $300 $420 Fewer crashes Lower traffic/road/toll operation costs CO2 reduction Benefits per vehicle, per year Source: Cisco IBSG Automotive and Economics Practices, 2011 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 10
- 11. Source: Autonomous Cars – Self –Driving: The New Automotive Paradigm, Morgan Stanley Research,, 2013 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 11
- 12. Transportation & Communication Cost (Percent of Personal Income) Passenger Vehicle Stock (Millions) 1,750 Mexico 42% China 43% Thailand India 59% 54% Brazil United States Reduce Cost to World Average of 24% 50% 58% 12% 750 Japan 14% Italy 15% France 15% Germany 15% United Kingdom 17% 13% Emerging Markets Mature Markets Today 2020 Source: EIU Data, Cisco IBSG Automotive 2010 © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 12
- 13. Thank you. © 2013 Cisco and/or its affiliates. All rights reserved. Cisco Confidential 13